Water district reports deficit

Total revenues are less than total expenditures by $91,000, says executive director

October 10, 2012

MARTINSBURG - The Berkeley County Public Service Water District ended the first fiscal quarter with less revenue and higher expenditures than projected, but remains optimistic that the numbers will closely align with the budgeted totals by the end of the year.

At the BCPSWD board meeting Tuesday, Executive Director Paul Fisher announced that, while neither the totals for the revenue nor the expenditures were drastically varying from the budget, the early numbers "set the tone for where we're at with our budget."

"Unfortunately, total revenue is less than total expenditures by $91,000, or 3.5 percent," Fisher said.

Fisher said some categories featuring loss of revenue for the first quarter will equalize with the amount budgeted, such as Berkeley County Schools, which were not in business for two months out of the first fiscal quarter.

However, most of the revenue loss is attributed to both vacant residential units and efforts by businesses and organizations to conserve water, a trend that has occurred throughout the last three years.

"The revenue we have to date is actually less than it was in the last two fiscal years, and that's primarily because of reduced water consumption. ... Both commercial and industrial and public authorities, the schools, have done water conservation measures," Fisher said.

To date, the total revenue for this fiscal quarter is down $207,819 from 2011 and $138,782 from 2010. Total expenditures has increased $59,837 from 2011 and $210,638 from 2010.

The increased expenditures are credited to necessary improvements, replacing equipment, unplanned maintenance, such as repairing a leak, and the high cost of fuel. The area of expenditures most over budget is capital improvements.

"(Capital improvements) is really the only category that is high, and if one of them is going to be high, that is the one you'd want because all those will translate into fixed assets or capital assets for the water district," Fisher said.